ENSCO Trades Old Rigs for Newbuild Rig
ENSCO
ENSCO International Incorporated reports that a subsidiary of the Company has entered into an
agreement with Keppel FELS Limited in Singapore to exchange three ENSCO rigs
and $55 million of cash for the construction of a new high performance premium
jackup rig. The three rigs to be exchanged are ENSCO 55, a 300' Freide &
Goldman 780 Mod II jackup rig built in 1981, and two Gulf of Mexico platform
rigs, ENSCO 23 and ENSCO 24, built in 1980.
The new premium jackup rig, to be named ENSCO 107, will be an enhanced KFELS MOD V (B) design modified to ENSCO specifications. The rig is a sister rig to ENSCO 106, a joint venture project with Keppel FELS, which is currently under construction in Singapore. ENSCO 106 is expected to be delivered by year-end, and delivery of ENSCO 107 is expected in late 2005. The transaction is subject to execution of a definitive construction contract and regulatory approvals.
Carl Thorne, ENSCO's Chairman and Chief Executive Officer, commented on the transaction, "The agreement to exchange three older rigs plus cash for construction of the ENSCO 107 is another step in our continuing fleet renewal program, and furthers our expansion in the high specification jackup rig market. ENSCO 55 is our one remaining F&G 780 Mod II jackup rig that has not been upgraded as part of our fleet enhancement program. ENSCO 23 and ENSCO 24 have been idle for some time, and including them in the transaction furthers our stated intent of de-emphasizing the more specialized equipment remaining in our fleet. We believe this transaction is a conservative and cost- effective approach to upgrading and rationalizing our rig fleet as the industry continues to evolve to more demanding drilling applications."
The new premium jackup rig, to be named ENSCO 107, will be an enhanced KFELS MOD V (B) design modified to ENSCO specifications. The rig is a sister rig to ENSCO 106, a joint venture project with Keppel FELS, which is currently under construction in Singapore. ENSCO 106 is expected to be delivered by year-end, and delivery of ENSCO 107 is expected in late 2005. The transaction is subject to execution of a definitive construction contract and regulatory approvals.
Carl Thorne, ENSCO's Chairman and Chief Executive Officer, commented on the transaction, "The agreement to exchange three older rigs plus cash for construction of the ENSCO 107 is another step in our continuing fleet renewal program, and furthers our expansion in the high specification jackup rig market. ENSCO 55 is our one remaining F&G 780 Mod II jackup rig that has not been upgraded as part of our fleet enhancement program. ENSCO 23 and ENSCO 24 have been idle for some time, and including them in the transaction furthers our stated intent of de-emphasizing the more specialized equipment remaining in our fleet. We believe this transaction is a conservative and cost- effective approach to upgrading and rationalizing our rig fleet as the industry continues to evolve to more demanding drilling applications."
RELATED COMPANIES
Most Popular Articles
- Blockchain Demands Attention in Oil and Gas
- Macquarie Sees USA Oil Production Exiting 2024 at 14MM Barrels Per Day
- Oman Sees Increasing Ship-to-Ship Transfers of Russian Oil Bound for India
- CNPC Opens Sea-Land Oil Storage and Transport Facility in Bangladesh
- US Govt Makes Record Investment of $6B for Industrial Decarbonization
- Perenco Still Searching for Missing Person After Platform Incident
- Eni, Fincantieri, RINA Ink Deal on Maritime Decarbonization
- Falcon Oil Declares Commercial Flow Test Results for Shenandoah Well
- Oil Falls as US Inventories Increase
- Czech Utility CEZ Bucks Weaker Prices, Demand to Log Record Annual Profit
- Equinor Makes Discovery in North Sea
- Standard Chartered Reiterates $94 Brent Call
- India Halts Russia Oil Supplies From Sanctioned Tanker Giant
- Centcom, Dryad Outline Recent Moves Around Red Sea Region
- DOI Announces Proposal for Second GOM Offshore Wind Auction
- PetroChina Set to Receive Venezuelan Oil
- Czech Conglomerate to Buy Major Stake in Gasnet for $917MM
- US DOE Offers $44MM in Funding to Boost Clean Power Distribution
- Oil Settles Lower as Stronger Dollar Offsets Tighter Market
- UK Grid Operator Receives Aid to Advance Rural Decarbonization
- Chinese Mega Company Makes Major Oilfield Discovery
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Another Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Vessel Sinks in Red Sea After Missile Strike
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension
- Equinor Makes Discovery in North Sea
- Standard Chartered Reiterates $94 Brent Call